The Assessee claimed payment of non compete fees as revenue expenditure . The AO treated the said expenditure as capital in nature . On appeal the Tribunal affirmed the order of the Assessing Officer . As regards provision for litigation and sales tax matter remanded to the Assessing Officer . ( AY. 2012-13)
Eaton Power Quality (P.) Ltd. v. DCIT (2024) 204 ITD 323 ( Chennai) (Trib)
S.37(1): Business expenditure –Non compete fee –Capital expenditure – Entitle to depreciation – Provision for litigation and taxation matter – Matter remanded .[S.32]